A Treasury spokesperson denied that Mnuchin had recommended such a plan.

“Neither Secretary Mnuchin nor Ambassador Lighthizer have made any recommendations to anyone with respect to tariffs or other parts of the negotiation with China. This an ongoing process with the Chinese that is nowhere near completion,” the spokesperson said.

The Trump administration has leveled tariffs on billions worth of Chinese imports. Trump agreed to postpone until March 1 a scheduled increase in tariffs on $200 billion of imports, from 10 percent to 25 percent.

Both the U.S. and China have felt the economic effects of the trade war. In November, China imported no U.S. soybeans for the first time since the protracted trade battle began, while China has scaled back its economic growth projections.